DALLAS, March 19, 2019 /PRNewswire/ -- Simmons Bank,
as Trustee of the Permian Basin Royalty Trust (NYSE: PBT)
("Permian") today declared a cash distribution to the holders of
its units of beneficial interest of $0.025642 per unit, payable on April 12, 2019, to unit holders of record on
March 29, 2019.
This month's distribution decreased from the previous month due
primarily to a decrease of oil production and gas production.
Gas pricing decreased, also contributing to the decrease. Capital
Expenditures rose to reflect current activity on the Waddell Ranch
Properties. These expenditures compared to the previous
month, which in turn, through the allocation of the Trust's
production from the underlying properties, resulted in a decrease
in both oil and gas production allocated to the Trust's interest
for the Waddell Ranch properties. The Texas Royalty
Properties saw an increase in the production of oil, offset by a
decrease in gas production in addition to a decrease in the pricing
of oil and gas for the month.
WADDELL RANCH
Production for the underlying properties
at the Waddell Ranch was 48,987 barrels of oil and 320,536 Mcf of
gas. The production for the Trust's allocated portion of the
Waddell Ranch was 6,127 barrels of oil and 45,879 Mcf of gas.
The average price for oil was $41.62 per bbl and for gas was $2.57 per Mcf. This would primarily reflect
production and pricing for the month of January for oil and the
month of December for gas. These allocated volumes were
significantly impacted by the pricing of both oil and gas.
This production and pricing for the Underlying Properties
resulted in revenues for the Waddell Ranch Properties of
$2,863,618. Deducted from these
would be the Lease Operating Expense (LOE) of $1,779,153, taxes of $202,720 and Capital Expenditures (CAPEX) of
$402,537 totaling $2,384,410 resulting in a Net Profit of
$479,208 for the month of
February. With the Trust's Net Profit Interest (NPI) of 75%
of the underlying properties, this would result in a net
contribution by the Waddell Ranch Properties of $359,405 to this month's distribution.
ConocoPhillips has advised the Trust of the 2019 budget for the
Waddell Ranch reflecting 2 new drill wells into the Wolfcamp
formation at an estimated $2.5
million (gross ($1.2 million
net to the Trust), (including $1.7
million, gross, $.8 million
net to the trust, of 2018 carryover budget), anticipated to be
completed in early 2019. Also, base well work of $1.6 million (gross), ($0.7 million net to the trust) and facilities
work of $4.2 million (gross),
($1.8 million net to the Trust)
bringing a total of $6.6 million
(gross), ($2.97 million to the trust)
of drilling and projects for 2019. There are no recompletions
planned for the year of 2019.
|
Underlying
Properties
|
Net to Trust
Sales
|
|
|
|
Volumes
|
Volumes
|
Average
|
Price
|
|
Oil
(bbls)
|
Gas
(Mcf)
|
Oil
(bbls)
|
Gas
(Mcf)
|
Oil
(per
bbl)
|
Gas
(per Mcf)
|
Current
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
48,987
|
320,536
|
6,127
|
45,879*
|
$41.62
|
$2.57**
|
Texas
Royalties
|
24,257
|
23,949
|
20,498
|
20,264*
|
$42.07
|
$4.56**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
48,625
|
332,340
|
6,688
|
49,635*
|
$41.21
|
$3.53**
|
Texas
Royalties
|
21,232
|
24,374
|
20,170
|
23,155*
|
$43.02
|
$4.86**
|
|
|
|
*These volumes are
the net to the trust, after allocation of expenses to Trust's net
profit interest, including any prior period adjustments.
|
|
**This pricing
includes sales of gas liquid products.
|
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 24,257 barrels of oil and 23,949 Mcf of gas.
The production for the Trust's allocated portion of the Texas
Royalties was 20,498 barrels of oil and 20,264 of gas. The
average price for oil was $42.07 per
bbl and for gas was $4.56 per
Mcf. This would primarily reflect production and pricing for
the month of January for oil and the month of December for
gas. These allocated volumes were impacted by the pricing of
both oil and gas.
This production and pricing for the underlying properties
resulted in revenues for the Texas Royalties of $1,129,913. Deducted from these were taxes
of $162,721 resulting in a Net Profit
of $967,192 for the month of
February. With the Trust's Net Profit Interest (NPI) of 95%
of the Underlying Properties, this would result in net contribution
by the Texas Royalties of $918,833 to
this month's distribution.
General and Administrative Expenses deducted for the month were
$84,864 resulting in a distribution
of $1,195,165 to 46,608,796
units outstanding, or $0.025642 per
unit.
The worldwide market conditions continue to affect the pricing
for domestic production. It is difficult to predict what
effect these conditions will have on future distributions.
The 2018 tax information packets were mailed directly to
unitholders during the week of March
4th. A copy of Permian's 2018 tax
information booklet is available on Permian's website. In
addition to the tax booklet the Permian website also offers two
simple calculators for computing the income and expense amounts and
the cost depletion.
Permian's cash distribution history, current and prior year
financial reports, including a summary of reserves as of 1/1/2018,
tax information booklets, and a link to filings made with the
Securities and Exchange Commission, all can be found on its website
at http://www.pbt-permian.com/.
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SOURCE Permian Basin Royalty Trust